Ember Fund Fractionalizes Blue-Chip NFTs for Index Fund

Credit: Yuga Labs

To make top NFTs more accessible to the average person, Ember Fund has launched an NFT index fund that tracks blue-chip collections. Now, with only $10, the average person has access to the leading NFT collections the fund tracks.

The four collections Ember Fund chose to include are CryptoPunks, the Bored Ape Yacht Club, Doodles, and World of Women. The company picked the four for the following reasons:

  • CryptoPunks: Tenured history and early mover advantage. CryptoPunks is the fund’s largest position.
  • Bored Ape Yacht Club: The most famous NFT project with several celebrity holders.
  • Doodles: Strong performance with an exciting roadmap. Doodles is an opportunistic play.
  • World of Women: A collection that embodies strong values. Some celebrity holders.

The index fund’s performance comes from the fluctuating floor prices of the projects. When they purchase, users are buying a fractionalized share of the NFTs. In that way, they can pay a much smaller cost than a collector buying a whole NFT would pay. Ember Fund has used smart contracts to eliminate the heavy gas fees of Ethereum for users.

The company touts several key benefits for users, aside from lowering gas fees. These benefits include a minimal investment, strong diversification, a curated NFT collection, and exposure to the highest quality NFT assets.

Ember Fund joins Index Coop, NFTX, and Bitwise as companies that offer NFT index funds. For more information about the Ember Fund project, visit the company’s website here.

A Closer Look at the Four NFT Collections in the NFT Index Fund

Few NFT enthusiasts would doubt the choices in Ember Fund’s Index Fund for blue-chip collections. In fact, the status of “blue-chip” is notoriously hard to attain in the NFT world, partly because the space changes so rapidly and volatility is inherent. Here is a closer look at the four collections in the Index Fund.

CryptoPunks. A historical collection that wore the crown in the NFT space until late 2021. Larva Labs engineered this 10,000 profile-pic NFT collection, which quickly set the standard for all PFP collections after it. They also introduced the use of rarity into NFTs, which continues to this day.

Bored Ape Yacht Club. A 2021 collection of 10,000 disinterested Apes. It vaulted to the top of the NFT space on the strength of its community. Soon, when it approached a 100 ETH floor, celebrities started to purchase them. Musicians and rappers, in particular, seem to have a fondness for the collection, with Eminem, Snoop Dogg, and Madonna all members.

Doodles. An NFT collection that spawned off many knock-offs, it has an artistic style that is universal and enjoyable. The team has created incredible real-life displays, including one at SXSW that had NFT Twitter raving. Its roadmap promises exciting possibilities ahead.

World of Women. The top women-based NFT collection, World of Women rolled out in late summer of 2021. It has supporters like Gary Vaynerchuk, Logan Paul, Reese Witherspoon, and Eva Longoria. The team has forged a partnership with The Sandbox to bring voxel versions of WoW NFTs to holders.

Time will tell if Ember Fund’s investment tool succeeds, but there’s little doubting the NFT collections it chose to track.